Four upsell techniques you need to adopt
What is upselling?
Upselling is an important sales technique that is used to encourage customers to purchase a more expensive or upgraded version of the item they’re originally going to buy. It is also when a salesperson persuades the buying customer to purchase add-ons so they can utilize the product. In turn, this will result in an increase in sales for the salesperson.
Some examples of upselling include:
- When the cashier at a fast-food restaurant offers to upgrade your regular-sized drink for a large one, for an additional price.
- A tool or app allows you to use its most basic version for free, but gives you the option to use its premium features when you upgrade your account and pay a fee.
- When an airline prompts passengers to upgrade to a first-class seat.
Upselling vs. Cross-selling
People get confused between upselling and cross-selling. These two sales techniques, however, have distinct differences.
As mentioned above, upselling is when customers are encouraged to buy a pricier, better version of what’s being purchased. Cross-selling, on the other hand, is when customers are invited to buy related or complementary items. It is a highly-effective tactic for generating repeat purchases.
To simplify, upselling is persuading your customers to buy something more expensive, while cross-selling is encouraging them to buy something additional.
Upselling techniques you need to learn
Going back to upselling, here are some upselling techniques every salesperson needs to adopt, learn, and utilize:
Create a sense of urgency
Customers take interest in upgrading or buying more if it comes with a discount. When that discount is given through a time-bound offer, the more enticing it seems.
Offer a discounted subscription or account upgrade through a “limited time only” promo and explain to your customers how upgrading could benefit them. The discount, together with your sales talk, will most likely persuade customers to buy the more expensive option.
Offer a bundle
Bundle your goods and services to make it more attractive to customers, and to make them realize the importance of buying one item with the other. Further, you can also offer free shipping vouchers or shipping discounts as the icing on the cake.
Convince customers with reviews and real-life examples
Get the opinions and reviews of your customers who have already upgraded their accounts. If it’s full of comments or constructive criticisms, you’ll know which parts of your product or service need improvement. On the other hand, if the customers loved your offering, you can use it as proof that upgrading their account/buying the more expensive brand is much better and beneficial in the long run. Displaying the opinions of their fellow customers will convince your prospects to purchase an upgrade/pricier item.
Follow up constantly, but don’t be annoying
Constantly following up and nurturing your customers to fully realize the value of an upgrade is key. However, by doing this, make sure you remain tactful. Do not bombard them and don’t be annoying, the last thing you want is losing a customer just because you want to upsell.
While upselling and making a sale is important, catering to your customers’ needs is still the top priority. Take time to find out what they need, find the best way to upsell while still catering to their needs, and gently follow up to make sure that they get the best out of their purchases.